How to Manage Your Money During a Disaster

Life is full
of twists and turns. Crisis situations like the coronavirus (COVID-19) pandemic
lead to uncertain times and unexpected changes. Unfortunately, these unexpected
changes can be extremely challenging for our day-to-day lives.

Here at
Pelican, nothing is more important to us than the health and safety of our members—mentally,
physically, and financially. That’s why we offer the products and services that
we do even through times of crisis and hardship.

No matter
what life throws at you, it is important to be both prepared and proactive.

Have a question about your finances or budgeting and want to get an answer?

Smart Money Management Tips:

Start by assessing your current situation. Do you have enough liquid savings to cover groceries and necessities for at least 14 days? If you have an emergency fund, now is the time to put it to use. You can make a quick list of the supplies you will need and create a budget to shop for the essentials. Once that is done, save the rest in case something else comes up or if your stay at home is extended.

Work your
budget. If you currently have a monthly budget, now is the time to revisit
it and see where you can cut back and move money to more important areas like
groceries and cleaning supplies. If you’ve budgeted $50 a week to go out to eat
or the movies, that money can be better used for essential items. If we’re at
home, and businesses are limited, we won’t be going out much anyway, right?

Only get
what you need. Use your essentials list to shop for supplies and only purchase
things you really need. Be thoughtful by leaving food and supplies for others.

Control
your spending, especially credit card spending. By only buying what you
need, you’ll be able to have your credit card to use in case of additional
emergencies. Don’t max out all of your options on one shopping trip. If you’re
at home, don’t spend too much time online shopping unless it’s for items you need
or were already budgeted.

Cash in
credit card rewards. Contact your credit card companies to determine what
rewards you can cash in. Many companies like Pelican offer gift cards for gas ,and
some card rewards even allow you to put cash toward your next credit card
payment. Credit card rewards can be an extra way to find a little extra money
in your time of need.

Clean out
your freezer. You may have many meals ready and waiting to be cooked right
in your freezer. Sometimes we forget what’s in there—especially if it’s buried
all the way at the bottom! See what you have on hand before making a trip to
the store for supplies. You’ll save money and leave more at the store for your
neighbors to buy if they need it.

Stay in
contact with your creditors. If you are out of work due to businesses
shutting down or other disaster-related issues, contact your creditors before
they call you. Companies know and understand that people may need a little help
during a crisis. Many creditors have disaster plans in place allowing for
skipped or deferred payments and even emergency relief loans. It never hurts to
be proactive and ask for the help upfront. Your creditors will appreciate you
for it!

Resources:

If you’re in the greater Baton Rouge area, you can call 2-1-1 to get up-to-date information on a number of various resources. From homeschool lunch programs to workforce development, 2-1-1 can help. You can also find resources here: https://www.211unitedway.org/